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Workforce Diversity and Organizational Effectiveness in Nigerian

Brewery Industry
Anthony Ogomegbunam Odita1* Solomon Egbule 2
1. Department Of Accounting, Banking & Finance, Faculty of management sciences,Delta state university,
Asaba, Nigeria
2. Department of bus. Admin., Faculty of management sciences,Delta state university, Asaba, Nigeria
*tonyodita2002@yahoo.com

Abstract
The study is aimed at assessing the effects of workforce diversity on organizational effectiveness in Brewery
industry using selected Breweries. Workplace diversity is a multidimensional and multi-faceted concept that will
continue to evolve as more industries move toward the global marketplace. Survey research design method was
employed, stratified sampling method as well as simple random sampling was used. Linear regression and
correlation analysis was employed for the analytical purpose to review the nature of statistical significance
among variables. The findings show that there is a significant positive relationship between the variables of
workforce diversity and organizational effectiveness; in particular cultural diversity was found to be more
effective, also Team building & group training-which mediates between workforce diversity and organizational
effectiveness. The study concluded that any organization-whose leaders and policy makers are pragmatic,
perspicacious and pertinacious, Team building & group training in line with good diversity management will act
as panacea to the cankerworm of low employee performance that have set the bottom figure of most
organizations balance sheet in bracket. We therefore recommend that for breweries to improve in innovation and
creativity, managers and organizational leaders should ensure that diversity-related issues are well managed, and
that breweries should create diversity managers in their companies, who are saddled with the responsibility of
ensuring that organizational effectiveness is maintained.
Keywords: Diversity, Gender Diversity, Ethnic Diversity, Workforce Diversity, Organizational effectiveness.

1. Introduction
Advances in technology and the advent of a global economy bring the people of the world closer together than
ever before. Given this fact, businesses, educational systems and other entities are investigating ways to better
serve their constituents.
This includes being able to attract and retain the best and most qualified workers. Organizations that
can develop and employ the necessary policies and procedures to do this will maintain a competitive advantage
among their counterparts and increase their effectiveness.
The Breweries recruits its employees from across the country and also foreigners alike. Hence it can be
suggested that its work force is diverse. Workforce diversity has important implications toward management
practices and policies. Frequently, diversity is viewed in a limited fashion, primarily addressing issues of race,
ethnicity, cultural or gender differences. With regard to this study, we used a very broad definition of diversity,
to encompass most characteristics that individuals possess that seem to affect the way they think and do things.
There are many legally mandated actions that employers must take to minimize employment
discrimination. In Nigeria, for example there is the Federal Character Law which stipulates that recruitments in
Federal Government Agencies and Parastatals must reflect the Federal character. But many CEOs recruit to
favour their own people to the detriments of other Nigerians from other places. This is unethical and tends to
negatively affect the performance level of most organizations in Nigeria (Ogbo, Kifordu, and Wilfred, 2014).
The 21st century managers are saddled with the responsibility of both leading employees and
responding to the needs of customers who are more ethnically and culturally diverse from each other. Leaders in
both the public and the private sectors are focusing more attention on the issue of diversity. Whether the goal is
to be an employer of choice, to provide excellent customer service, or to maintain a competitive edge, diversity
is increasingly recognized and utilized as an important organizational resource. Leaders and managers within
organizations are primarily responsible for the success of diversity policies because they must ensure that the
policies are effective.
The most important issues of workforce diversity are to address the problems of discrimination in
terms of gender, age, ethnicity, education background and culture.
The main purpose of this study is to investigate the impact of workforce diversity and performance.
Various factors that enhance the relationship between workforce diversity & performance as mediators are also
explored. Age, gender & ethnicity are taken as the dimensions of diversity.
The discriminatory attitude of some workforce, individual identity, lack of cooperation amongst
workers has been extended by workers in same diverse organization beyond limits, which dampens morale with

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negative performance index. This is because departmental goals are pursued more at the expense of broad
organizational goals and objectives. Corporate profitability dwindles because the core values of diversity are not
properly harnessed (Salami, 2010).
Countless studies have been conducted on workforce diversity. This study is provoked by the gap left
unfilled by a substantial number of research works that has been conducted on workforce diversity and its
significance on the organizational performance. In recent years Diversity Management and workforce diversity
have been substantial and as such have forced companies to embrace these concepts in their companies with the
aim of increasing productivity and profit. This forced integration has created divergence and uncertainty in the
workforce, as management is not skilled enough to control the concept of diversity management and its ethics,
and so managers are finding it difficult to effectively practice diversity management, which in turn has become
an albatross on their neck
When left un-managed, employee diversity is more likely to damage morale, increase employee
turnover, and cause significant communication problems (Jehn et al., 1999), in Eugene et al., (2011). The above
mentioned negative effect of workforce diversity is prevalent to organizations today, but requires solutions for
organizations to perform optimally. Hence, this study investigated the impact of workforce diversity and
organizational effectiveness using breweries in Nigeria.

2. Literature Review
Many organizations throughout Nigeria are unsure of what it takes to effectively manage diversity. This is partly
due to the fact that top management only recently became aware of the combined need and importance of this
issue. At this point, it is necessary to provide a framework for categorizing organizational initiatives.
Researchers and practitioners have developed relevant frameworks. One was developed by Roosevelt (2001),
who is a diversity expert. He identified eight generic action options that can be used to address any type of
diversity issue. A second was proposed by another diversity expert, Mitchell (2013). She empirically identified
the specific diversity initiatives used by 16 organizations that successfully managed diversity in developed
countries. This framework is reviewed in order to provide information both on broad and specific understanding
on how organizations are effectively managing diversity.

2.1 Concepts Of Diversity

Diversity is a subjective phenomenon, created by group members themselves who on the basis of their different
social identities categorize others as similar or dissimilar: “A group is diverse if it is composed of individuals
who differ on a characteristic on which they base their own social identity”. Diversity could be defined as that
which differentiates one group of people from another along primary and secondary dimensions. Primary
dimensions of diversity, those exerting primary influences on our identities, are gender, ethnicity, race, sexual
orientation, age and mental or physical abilities and characteristics.
There is a definite trend towards definitions of a multiplicity of diversity dimensions; Cox, (1994) adds
culture, social class and language to the primary dimensions and healthcare beliefs and recreational interests to
the secondary dimensions. She further adds a tertiary dimension, which encompasses historical moments
experienced.
Cox lists 38 possible diversity dimensions, and further suggests that his item “character traits” is
“infinitely expandable”. He illustrates this multi-dimensionality by reference to the individual as a kaleidoscope.
The analogy of an iceberg comes to mind in the face of these potentially endless dimensions; the obvious
characteristics of race, ethnicity, gender, age and disability relate to the small, visible portion of the iceberg, and
are the basis of much anti-discrimination legislation around the world. Other dimensions such as religion, culture
and political orientation are less obvious, and could be said to constitute the secondary dimensions lying just
below the surface, which may be revealed with time. The tertiary dimensions are often the core of individual
identity and lie deeper below the surface. It is the vast array of qualities that lie beneath the surface that provides
the real essence of diversity to be tapped into, and these have not until recently been acknowledged. It should be
noted that only some of the possible dimensions are shown in Table 1; the lists are in no way exhaustive.

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Table 1: Dimensions of Diversity

Primary dimensions Secondary dimensions Tertiary dimensions

• Race • Religion • Beliefs

• Ethnicity • Culture • Assumptions
• Gender • Sexual orientation • Perceptions
• Age • Thinking style • Attitudes
• Disability • Geographic origin • Feelings
• Family status • Values
• Lifestyle • Group norms
• Economic status
• Political orientation
• Work experience
• Education
• Language
• Nationality

Source: based on R. Rijamampinina, T. Carmichael, (2005:109): A Pragmatic and Holistic

2.2 Approach to Managing Diversity: Problems and Perspectives in Management.

Table 1 above indicates that diversity has many dimensions. These may intertwine to produce unique syntheses
of human profiles, made up of both differences and similarities. The dimensions interact with and influence one
another, and emerge or are displayed differently in different contexts, environments and circumstances, making
analysis and management complex. Race, for example, may be more dominant than age in a certain social
situation, but may be less dominant than education in a work context. Thus the position and dominance of each
dimension are not static, but dynamic, making the concept of diversity more complex. In addition to this, the
secondary dimensions are more malleable and many of them will change over time. Diversity is not simple, not
easy to grasp and not easy to manage. By using socio-demographic traits as independent variables to
operationalize diversity, most diversity studies has understood diversity as a given, fixed individual or group
essence (Leonard & Devine, 2003). They sum the situation up by observing that diversity in business has for too
long been associated with multicultural, multiethnic and multiracial aspects of the workforce. They define
diversity as “any mixture of items characterized by differences and similarities”.
Gender-based inequalities in organizations are reinforced and justified by stereotypes and biases that
describe positive characteristics and therefore a higher status to the males (Leonard and Devine, 2003; Jackson &
Joshi 2004).
Growing age diversity has become part of many organizations (Florian Kunze, Stephen Boehm and
Heike Bruch, 2009). There are two major theories which explain this relationship; the social identity and self-
categorization. Individuals are suggested to classify themselves into certain groups on the basis of dimensions
that are personally relevant for them according to social identity and self-categorization theory (Kunze, Boehm
and Bruch, 2009).
Culture is critical to business success, according to the results of the 2013 Culture and Change
Management Survey. When more than 2,200 global businesspeople were surveyed to get their take on culture’s
role in business, it was observed that culture is widely seen as more important than companies’ strategies or
operating models. This view of culture’s importance holds true around the world (Cox, 1991; Cox 1994; Gilbert
and Ivancevich, 2000),

2.3 The Concept Of Organizational Effectiveness

Organizational effectiveness is the concept of how effective an organization is in achieving the outcomes the
organization intends to achieve (Mitchell, 2013). According to Richard et al. (2000) organizational effectiveness
captures organizational performance plus the myriad internal performance outcomes normally associated with
more efficient or effective operations and other external measures that relate to considerations that are broader
than those simply associated with economic valuation (either by shareholders, managers, or customers).
It’s been asserted in the literature that creativity in teams is expected to be greater when there is
diversity in expertise, nationality, culture, gender, ethnicity, sex, character, experience etc. Performance refers to
the degree of achievement of the mission at work place that builds up an employee job. Different researchers
have different thoughts about performance. Mostly researcher’s used the term performance to express the range
of measurements of transactional efficiency and input & output efficiency.
Organizational effectiveness is the concept of how effective an organization is in achieving
the outcomes the organization intends to produce (Mitchell, 2013). According to Richard et al. (2000)

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organizational effectiveness captures organizational performance plus the myriad internal performance outcomes
normally associated with more efficient or effective operations and other external measures that relate to
considerations that are broader than those simply associated with economic valuation (either by shareholders,
managers, or customers),

3.1 Research Design

The study used descriptive design to describe the workforce diversity and its effect on performance of the
breweries listed on the NSE. Descriptive design was suitably used in the formulation of knowledge and solution
to existing problems (phenomenon). It is used when collecting information about people’s attitudes, opinions,
habits and other possible behavior.

3.2 Population And Sample Size

The sampling frame for the study was created from the 6 Breweries listed under the Nigerian Stock Exchange
(NSE).The population of the management staff of the six (6) breweries is 520. A total of 226 staff of the 6
breweries was selected as the sample size as derived Using Taro Yamen’s formula:
n= ___N____
1+N (e)2

Figure 2.1: Effective leadership in a diverse workforce

Leadership behaviour Personality characteristics
• Interpersonal • Intelligence
relations • Competence
• Social skill
• Task accomplishment
• Need for post to
influence

Documentation of the Situation variables

important role of Clarity
What makes effective
attributions of in the Predictability of leaders
leadership in a diverse
determinant of lender’s Follower’s task
workforce
action towards environment
subordinates

Image management
• Credibility
• Expertise
• Trust worthiness
Mentorship

Relationship
Coaching and guidance

Team coordination and

Feedback development

Source: Research’s model as reviewed form Chemers, (1993)

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3.3 Sampling Techniques

The probability sampling method employed in this study includes stratified sampling method (since the sampling
element involve six (6) breweries in different locations), and the simple random sampling (SRS) used in
selection of the 226 staff from the 6 breweries. The selection of SRS is appropriate for each category because the
study involves hypothesis testing using inferential statistics, and SRS provides a means by which the degree of
error can be estimated (Yomere and Agbonifoh, 1999: 84), SRS is best used when you have an accurate and
easily accessible sampling frame that lists the entire population and better with over a few hundred (Mark et al,
2009:226).

3.4 Method Of Data Collection

The strategy for generating the data for this study involves the administration of copies of validated
questionnaire on the respondents. The questionnaire subjected to five (5) point likert scale ranging from 1-
Strongly Disagree to 5- Strongly Agree. It was suitable for this study because it is particularly suitable for
measuring attitudes towards an object or for obtaining the response evaluation of an object (Yomere and
Agbonifoh, 1999: 145, Mark et al, 2009:178-181 and Olannye, 2006:145). A total of 226 questionnaires was
distributed.

3.5 Method Of Data Analysis

The statistical analysis involve bivariate analysis for determining the degree of relationship between the
variables which include Pearson correlation analysis. The scientific package for social science (SPSS version 20)
software was employed
Regression and correlation analysis was used because of the nature of the topic (The impact of workforce
diversity on organizational effectiveness), and this two techniques are the most common model used by many
researchers. Correlation was used to show the relationship between variables, regression on the other hand, was
used for prediction of outcome, it does not only show positive, negative or no relationship but also tells the
strength of that relationship.

4.1 Data Presentation And Analysis

This chapter presents the analysis of data collected from the management staff of 6 breweries listed on the NSE,
and findings of the study. First, the researcher gives an overview of the process of data generation and analysis.
Then the results of the analysis of the descriptive statistics are presented. Finally, the results of testing the
hypothesised model were presented and the findings interpreted and discussed.
Out of the 226 questionnaires administered, 206 copies were retrieved. Out of the 206 questionnaires retrieved, 6
copies were inappropriate leaving 200 copies which were used for the analysis, which is 88.%.

4.2 Analysis Of Respondence Profile

4.2.1 Sex of Respondents
Participants in the survey were asked to state their gender. An examination of this demographic item in the
research instrument was carried out with the computation of frequencies and percentages and the results are
shown in table 4.1
Table 4.1: Sex of Respondents
Variable Frequency Percentage
Male 122 61

Female 78 39
200 100
Total
Source: Researchers analysis of field survey, 2014.
Table 4.1 above shows that 122 (61%) of the respondents were male, indicating that there are more of
male employees in this organizations. While 78 (39%) of the respondents were female, making male the modal
gender.

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4.2.2 Age Distribution of Respondents

Table 4.2 Age distribution of Respondents
Age Frequency Percentage
20-29 41 20.5
30-39 79 39.5
40-49 56 28
50 and Above 24 12
Total 200 100
Source: Researchers analysis of field survey, 2014.
Table 4.2 above shows the age distribution of respondents which was spread across various age ranges.
It reveals that 20-29years category account for 41(20.5%) of the respondents, 30-39years category represent the
highest number of respondents accounting for 79 (39.5%), 40-49years of age range represent 56 (28%) of the
respondents while 50years and above category represent 24 (12%) of the respondents and is the lowest number
of respondents.
4.2.3: Ethnic Background of Respondents
Table 4.3 Ethnic Background of Respondents
Ethnicity Frequency Percentage
Ibo 66 33
Hausa 39 19.5
Yoruba 50 25
Others 45 22.5
Total 200 100
Source: Researchers analysis of field survey, 2014.
The table 4.3 above also reviewed that 66 (33%) of the respondents are Ibos, representing the highest Ethnic
group in the industry, 39(19.5%) were Hausa, 50(25%) of the respondents were the Yoruba’s, they happens to be
the next to the Ibos, while 45(22.5%) represent staff from other tribes.
4.2.4 Educational Qualification of Respondents
Table 4.4 Educational Qualification of Respondents
EDUCATIONAL LEVEL
Frequency Percentage
Diploma 78 39
Degree 89 44.5
Master 30 15
PhD 3 1.5
Total 200 100
Source: Researchers analysis of field survey, 2014.
As shown in table 4.4 above, the greater part of the respondents had degree 89 (44.5 %). This is
directly followed by staff with diploma 78 (39%) of the respondents. 30 (15%) of the respondents are master
holders while 3 (1.5%) of the respondents are PhD holders and happens to be the least among them.
4.2.5 Nationality of Respondents
Table 4.5 Nationality of Respondents
NATIONALITY Frequency Percentage
Nigeria 169 84.5
Foreigner 31 15.5
Total 200 100
Source: Researchers analysis of field survey, 2014.
The Nationalities of the respondents are typified in table 4.5 above. 169 (84.5%) represents Nigerians
which happens to be the major nationality of respondents. While 31(15.5%) of the respondents are foreigners.

4.3 Analysis Of Other Data.

Research Question One: What is the relationship between gender diversity and innovation?

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Table 4.6: Gender Diversity and Innovation

Frequency Percentage Mean Std.
Dev.
12. Gender diversity promotes innovative outcomes in my
organization
SD 6 3.0
D 21 10.5
U 19 9.5
A 126 63.0
SA 28 14.0
Total 200 100 3.75 0.93
13. The organization’s training and development program is
developed to meet the criteria/requirement of the male and
female - -
SD 17 8.5
D 19 9.5
U 125 62.5
A 39 19.5
SA 200 100 3.94 0.79
Total
14. Women are involved in the organization’s decision making
as much as men aiding innovation in the organization
SD - -
D 19 9.5
U 17 8.5
A 125 62.5
SA 39 19.5
Total 200 100 3.94 0.79
15 organization is innovative because its human resources is fair
in recruitment process of both gender
SD - -
D 29 14.5
U - -
A 97 48.5
SA 74 37.0
Total 200 100 4.09 0.98
Source: Researchers field Survey, 2014
A total of 126 (63%) of the respondents agree that Gender diversity promotes innovative outcomes in
their organization, 28 (14%) strongly agree to the above statement, 19 (9.5%) were undecided, while a
respondents totaling 27 (13.5%) disagree.
To the question ‘The organization’s training and development program is developed to meet the
criteria/requirement of the male and female’, 125(62.5%) of the respondents agree, 39(19.5%) strongly agree,
19(9.5%) of the respondents were undecided, while 17(8.5%) disagree.
164(82%) of the respondents agree that Women are involved in the organization’s decision making as
much as men aiding innovation in the organization, 19(9.5%) disagree, while 17(8.5%) of the respondents were
undecided.
171(85.5%) agree that their organization is innovative because its human resources is fair in
recruitment process of both gender, while 29 (14.%%) of the respondents disagree.
Tables 4.7 Regression Model Test of Analysis of Relationship between gender diversity and Innovation.
Coefficientsa
Model Unstandardized Coefficient Standardied coefficient T Sig
B Std.Error Beta
(Constant) gender 8.245 1.228 6.715 .000
diversity .488 .071 .525 6.841 .001
Source: SPSS version 17
Table 4.7 above shows that the regression analysis result for gender diversity exhibited a positive,
relationship with innovation, giving the Beta value (β = .525,p □ 0.01).

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Table 4.8 Model Summary

Model R R Square Adjusted RSquare Std. Error of the Estimate
1 .593a .427 .413 2.67349

Source : SPSS version 17

The model summary in table 4.8 above shows the change in organisational effectiveness measured by
innovation (dependent variable) which is brought about by gender diversity ( independent variable). 41.3% (.413)
of the change in innovation is explained by gender diversity.

Research Question Two:

What is the relationship between ethnic diversity and creativity?
Table 4.9 Ethnicity Diversity and Creativity
Frequency Percent Mean Std.
Dev.
20. The concern about the employee’s custom, cultures, and values
encourage creativity in the organization.
SD - -
D 9 4.5
U 19 9.5
A 104 52.0
SA 68 34.0
Total 200 100 4.16 0.78
21 Different languages that are used to communicate do not create
problem among employees
SD 19 9.5
D 21 10.5
U 6 3.0
A 126 63.0
SA 28 14.0
Total 200 100 3.75 0.93
22 The presence of different ethnic groups in my organization
encourage creativity
SD
D 17 8.5
U 19 9.5
A 125 62.5
SA 39 19.5
Total 200 100 3.94 0.79
23 My organization is creative because team leaders includes all
member at different ethnic group in problem solving and decision
making
SD
D -
U 29 14.5
A - -
SA 126 63
Total 45 22.5
200 100 3.75 0.93
Source: Field Survey 2014
172(86%) of the respondents agree that the concern about the employee’s custom, cultures, and values
encourage creativity in the organization, 19(9.5%) were undecided, while 9(4.5%) of the respondents disagree to
the above statement.
A total of 154(77%) of the respondents agree that different languages that are used to communicate do
not create problem among employees in their organization, 40(20%) disagree, while 6(3.0%) of the respondents
were undecided.
To the statement ‘The presence of different ethnic groups in my organization encourage creativity’
164(87%) of the respondents agree, 19(9.5%) were undecided while a total of 17(8.5%) disagree.
A total of 171(85.5%) of the respondents agree that their organization is creative because team leaders
include all member at different ethnic group in problem solving and decision making, while 29(14.5%) disagree.

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Table 4.10 Regression Model Test of Analysis of Relationship between ethinc diversity and creativity.
Model Unstandardized Coefficient Standardied coefficient T Sig
B Std.Error Beta
(Constant) Ethnic 7.214 1.128 5.741 .000
Diversity .399 .061 .612 6.743 .000
Sources:SPSS version 17

Table 4.11 Model Summary

Model R R Square Adjusted R Square Std. Error of the Durbin watson
the estimate
1 .912a .757 .712 2.57322 1.89

a. Predictors: (Constant), Ethnic diversity

Source : SPSS version 17

Research Question Four: What is the relationship between cultural diversity and innovation?
Table4.12 Cultural Diversity and Innovation

Frequency Percentage Mean Std.

Dev.
8. The company can draw on skilled employees from different
cultures when recruiting staff
SD - -
D 9 4.5
U 19 9.5
A 104 52.0
SA 68 34.0
Total 200 100 4.16 0.78
9. Recruiting employee from different cultures helps my
organization to be innovative 6 3.0
SD 21 10.5
D 19 9.5
U 126 63.0
A 28 14.0
SA 200 100 3.75 0.93
Total
10. I am positive about cultural diversity in this work place

SD - -
D 17 8.5
U 19 9.5
A 125 62.5
SA 39 19.5
Total 200 100 3.94 0.79
11 The company apply cultural diversity management (CDM)
that promote innovation and fairness
SD - -
D - -
U 29 14.5
A 97 48.5
SA 74 37.0
Total 200 100 4.09 0.98
Source: Field survey, 2014
Total of 104 (52%) of the respondents agree that the company can draw on skilled employees from
different cultures when recruiting staff, 68 (34%) strongly agree to it, 9 (4.5%) disagree, while 19 (9.5%) of the
respondents were undecided.
126 (63%) of the respondents agree that Recruiting employee from different cultures helps my
organization to be innovative, 28 (14%) strongly agree to it, 21 (10.5%) disagree, 19 (9.5%) of the respondents

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were undecided, while 6 (3.0%) strongly disagree.

When asked whether they are positive about cultural diversity in their work place, 125 (62.5%) of the
respondents agree to it, 39 (19.5%) strongly agree to it, 19 (9.5%) of the respondents were undecided, while 17
(8.50%) disagree.
A total of 97 (48.5%) of the respondents agreed that the company apply cultural diversity management
(CDM) that promote innovation and fairness, 74 (37%) strongly agree, while 29 (14.5%) of the respondents were
undecided.
Table 4.13 Regression Model Test of Analysis of Relationship between cultural diversity and Innovation.
Coefficientsa
Model Unstandardized Coefficient Standardied coefficient T Sig
B Std.Error Beta
(Constant) 8.141 1.028 4.715 .000
Cultural Diversity .489 .0811 .811 5.841 .000
Sources:SPSS version 17

Table 4.14 Model Summary

Model R R Square Adjusted RSquare Std. Error of the Durbin watson
the estimate
1 .821a .716 .699 2.81243 1.87

a. Predicators: (Constant), Cultural Diversity

Source: SPSS version17
Table 4.13 above shows that the regression analysis result for Cultural diversity exhibited a positive
relationship with innovation, giving the Beta value (β = .811, p □ 0.01).
The model summary in table 4.14 above shows the change in orgaizational effectiveness measured by innovation
(dependent variable) which is brought about by cultural diversity (independent variable). 69.9% (.6.99) of the
change in innovation is explained by gender diversity.

4.5 Test Of Hypotheses

The regression analysis was employed as an analytical tool for testing the hypothesis formulated in chapter
one.The null hypothesis advanced as tentative answers to the research questions of the present study were
empirically tested to see whether they are supported by the empirical data or not.
Hypothesis testing between gender diversity and innovation
The analysis in Table 4.7 above shows that the regression analysis result for gender diversity exhibited a positive
relationship with innovation, giving the Beta value (β = .525, p ˂ 0.01).
Also as indicated in the table 4.7 above, since the p-value calculated is less than the critical level of
significance (.001 ˂ 0.05), we reject the null hypothesis and accept the alternative implying that there is
significant relationship between gender diversity and Innovation.

Hypothesis testing between ethnic diversity and creativity

The analysis in Table 4.10 above shows that the regression analysis result for ethnic diversity exhibited a
positive relationship with creativity, giving the Beta value (β = .612, p < 0.00).
Since the p-value (in table 4.10 above) calculated is less than the critical level of significance (.000 ˂ 0.05), we
reject the null hypothesis and accept the alternative implying that there is significant relationship between ethnic
diversity and creativity.

Hypothesis testing between Cultural Diversity And Innovation.

The analysis in Table 4.13 above shows that the regression analysis result for cultural diversity exhibited a
positive relationship with innovation, giving the Beta value (β = .811, p < 0.00).
The table 4.13 above reviewed that the p-value calculated is less than the critical level of significance
(.000 ˂ 0.05) we reject the null hypothesis and accept the alternative implying that there is significant
relationship between cultural diversity and Innovation.

5.0 Discussion Of Findings, Conclusions, And Recommendations

5.1 Discussion Of FindingS
5.1.1: Gender Diversity And Innovation
Table 4.7 above shows that the regression analysis result for gender diversity exhibited a positive relationship
with innovation, giving the Beta value (β = .525, p ˂ 0.01). More so, the result in table 4.8 shows that 41.3% of
the change in innovation is explained by gender diversity.

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However, the result of the tested hypothesis in table 4.13 indicates that there is significant positive
relationship between gender diversity and Innovation. The above finding is in accordance with the assertion of
Mitchell, 2013) that gender diversity in organizations increase creativity and innovation, stressing that since the
marketplace itself is diverse, gender diversity will make it easy for firms to penetrate these markets with
innovative ideas and products. This is further supported by the following researchers (Jackson et al., 2004; Jehn
et al.,1999; Roosevelt 2001) in their opinion that gender diversity established significantly positive relationship
with innovation which in turn result to positive firm performance.
5.1.2: Ethnic Diversity and Creativity
Table 4.10 above shows that the regression analysis result for ethnic diversity exhibited a positive relationship
with innovation, giving the Beta value (β = .612, p ˂ 0.01). More so, the result in the model summary in table
4.11 shows that 85% of the change in innovation is explained by ethnic diversity. However, the result of the
tested hypothesis in table 4.14 indicates that there is significant positive relationship between ethnic diversity
and creativity.
The above finding is in consonance with Timmermans et al., (2011), (Barbara and Politechnika, 2010)
and (Richard, 2000) stating that diversity in ethnicity can be expected to be positive for creativity, since it
broadens the viewpoints and perspectives in the organization. The study of (Alesina and La Ferrara, 2005; Lee
and Nathan, 2011; Ozgen et al., 2011) also affirm that ethnically diverse teams are associated with more
creativity and innovation. This is because Ethnic diversity would benefit team performance due to a more diverse
pool of skills and knowledge. The implication of the finding is that organizations that are mono-ethnic might not
be creative.
5.1.3: Cultural Diversity and Innovation.
Table 4.13 above shows that the regression analysis result for Cultural diversity exhibited a positive relationship
with innovation, giving the Beta value (β = .881, p ˂ 0.01). The model summary in table 4.14 above shows that
41.3% change in innovation is brought about by cultural diversity.
However, the result of the tested hypothesis in table 4.14 indicates that there is significant positive
relationship between cultural diversity and innovation.
This finding aligned with A survey conducted by the (European Commission 2008) that there is a
positive link between cultural diversity and innovation. Cox and Mcleod, 1991; They argued that a culturally
mixed workforce are creative and holds a potential competitive advantage for the organizations.
Supporting this finding also is a notable scientists- Gilbert and Ivancevich (2000: 94), they emphasized
the importance of cultural diversity, because “it is good in itself and because it enhances organizational
performance and increases the quality of organizational life”. Continuing they affirmed that managers or
organizational heads should successfully use cultural heterogeneity and came to the conclusion that plurality in
personnel is beneficial for teamwork and increases productivity and commitment.

5.3 Conclusions
Workforce diversity creates problem when left unmanaged. From the findings of the study, it can be concluded
that, overall the workforce diversity had a significant impact on the organizational effectiveness of the breweries
in Nigerian. Specifically,
The gender diversity variable of workforce diversity had a statistically significant positive relationship
with innovation. Since the marketplace itself is diverse, workforce with diverse gender will make it easy for
firms to penetrate these markets with innovative ideas and products. More so, diversity especially in terms of
gender leads to greater problem solving. This is because many alternatives are carefully evaluated by both
gender in terms of pros and cons.
Ethnic diversity had significant positive relationship with creativity. This is because Ethnic diversity
would benefit team performance due to a more diverse pool of skills and knowledge. The cultural diversity had a
statistically significant positive relationship with innovation. Culturally mixed workforce is creative and holds a
potential competitive advantage for the organizations, it is good in itself and because it enhances organizational
effectiveness and increases the quality of organizational life.
Organizations with diverse employees are better suited to serve diverse external customers in an
increasingly global market. Such organizations have a better understanding of the requirements of the legal,
political, social, economic, and cultural environments.
A diverse workforce is a reflection of a changing world and marketplace. Each employee in a diverse
workplace possesses unique strengths and weaknesses derived from their diverse culture, diverse ethnicity,
diverse gender, diverse educational background, and in addition to their individuality. When a diverse workforce
is trained and managed properly, diversity in the workplace can leverage the strengths and complement the
weaknesses of each worker resulting to synergistic performance, making the impact of the workforce greater
than the sum of its parts. Diversity management benefits organizations by creating a fair and safe environment
where everyone has access to the same opportunities and challenges, thereby displaying their creativity and

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Developing Country Studies www.iiste.org
ISSN 2224-607X (Paper) ISSN 2225-0565 (Online)
Vol.5, No.8, 2015

innovativeness.
5.4 Recommendations
Thus, it is recommended that breweries should create diversity managers in their companies, who is saddled with
the responsibility of ensuring that organizational effectiveness is enhanced.
Organizational leaders/managers should formulate policies that guide against gender discrimination in their
organizations in other to encourage innovative.
Organizational leaders should formulate laws and policies on equal employment, that ensure the most
qualified employees are recruited, irrespective of their cultural background, ethnic group, and gender in other to
encourage creativity and innovation in the organization .

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